New construction starts in December climbed 12% to a seasonally adjusted annual rate of $733.3 billion,…
New construction starts in December climbed 12% to a seasonally adjusted annual rate of $733.3 billion, bouncing back following November’s 12% decline, according to Dodge Data & Analytics.
This is a big deal, since new housing is about the only way to meet growing demand in housing markets across the country.
December’s gain for total construction reflected varied improvement by each of the three main construction sectors.
Nonbuilding construction (public works and electric utilities/gas plants) jumped 43%, lifted by the start of the $2.3 billion I-66 Corridor Improvements Project in northern Virginia.
Nonresidential building rose 10%, aided by the start of two large data center projects, while residential building edged up 1%.
For all of 2017, total construction starts grew 3% to $745.9 billion, which followed the 6% increase reported for 2016.
The full year 2017 gain was dampened by a 35% downturn for the electric utility/gas plant category. If electric utilities and gas plants are excluded, total construction starts for 2017 would be 5% higher than the corresponding amount for 2016.
Dodge Data & Analytics is North America’s leading provider of analytics and software-based workflow integration solutions for the construction industry. Find out more at www.construction.com.